Help! I want to move my bank account

Don't worry: the process is becoming far easier than it used to be. From 1 January this year, most banks agreed to 'co-operate to ensure customers can move their account to another bank or building society as smoothly as possible'. This agreement was part of an extension to the Banking Code - a voluntary statement of good practice which has been signed by most banks.

Many people have been put off switching current accounts because they worried that some of their direct debits or standing orders could get lost or delayed in the process. Now, however, the bank you are leaving should send a list of such details to your new bank.

Your new bank will ask you to authorise these transactions. A traditional lender will want you to sign a separate authorisation for each direct debit. But the newer, streamlined banks will send you just one piece of paper to sign, a letter listing all your direct debits and standing orders.

Although this is the theory, there seem to be some problems at the moment in practice. Research conducted by Halifax subsidiary Intelligent Finance suggests that the traditional Big Four are not up to speed yet. Nevertheless, they are heading in the right direction.By the end of this year, the process should be even smoother when an electronic procedure 'to deliver an automated direct debit transfer system' is introduced across the banking industry. Banks will be able to pass information electronically to each other and to the 'merchants', the mortgage lenders and other businesses that receive money through direct debit and standing order transactions. Not only will this be quicker and less administratively onerous for the customer, it will also reduce the scope for human error.

Banks are finally trying hard to take the pain out of switching current accounts, recognising that this will reward the most efficient of them. HSBC, for instance, hopes to complete the account-opening process in seven working days and plans to give compensation of £10 if it misses any of its own deadlines and benchmarks.